Applying For a Loan
What You Will Need
- Past 2 years of W-2’s, Corporate returns, K-1’s or 1099’s.
- 3 most recent pay stubs showing YTD income
- 3 months of bank statements, credit card bills, and other accounts
- Verification of all additional sources of income
- Residence addresses for last 2 years + landlords names and numbers
- SS # and driver’s license number
- Any information on stocks, assets, bonds, life insurance, 401k
- 2 years employment history; addresses, employer names and numbers
- Child support, bankruptcy or VA documentation if applicable
- If the down-payment (or a portion of it) is coming from a gift, provide the giver’s name and contact info as the lender will most likely require a paper trail of these funds
Don’t Put Your Loan Approval at Risk!
Keep in mind that during your Real Estate Transaction you should not…
… Make any new and expensive purchases on your credit card such as a car.
… Open any new credit card accounts.
… Change jobs or quit your job.
… Skip any credit line payments or make any late payments on your bills.
… Delete a checking or savings account or change banks.
It helps to have some amount of money “seasoned” in a bank account for 2-3 months (it depends on the type of loan). Remember that closing costs include things like loan fees, rate buy-downs, escrow fees, pre-paid taxes and insurance and sellers do not always agree to help pay for these concessions. Besides your down-payment and your closing costs, you’ll want to have money saved aside for earnest money (which is generally about 1% of the offer price and becomes a part of your down-payment if you close on the property), the appraisal (about $450-500), and your property inspections, which besides the general inspection may include things like a sewer scope or oil tank locate. When you get to that part of the transaction, we will be there to help you through this process and give you the information you need to make an informed decision about which inspections to do.